Dosing Alternatives: Implementation Time and Effectiveness
There is a significant difference in the time it takes to relaunch a
drug with a new dosing strength compared to a new dosing regimen. New
dosing strengths have a less-complicated development process to undergo
before a company can manufacture and market the relaunched drug. Dosing
regimen changes, however, involve an additional understanding of how the
drug will react with a patient’s metabolic processes. Therefore,
switching from a three times per day dosing regimen to a once a day is
far more complicated than simply putting three times as much active
ingredient into one pill. The additional testing required, while basic
in many respects, still adds time to the implementation process.
According to survey data, product teams take an average of 8.4 months to
develop and relaunch a product with a new dosing strength. Although
there are certainly examples of drugs that require the better part of
three years to relaunch with a new dosing strength, the majority of
companies require between one and four months to market the new product.
The data show that there are differences between developing a product
with a new dosing strength versus one with a new dosing regimen. Rather
than taking one to four months, most companies require between one and
four years to relaunch a drug with a new dosing regimen. On average, a
product team requires 20.0 months.
Although it may take more time on average to develop a new dosing
regimen compared to a new dosing strength, there is little difference in
the strategies’ effectiveness at protecting market share. Participating
companies rated the effectiveness of both strategies on a scale of 1 to
5 where 5 represents the most effective strategy. New dosing strengths
and regimens scored 3.5 and 3.4, respectively, on the scale.
New Indications: Strategy Cost
Because new indications relaunches are so similar in process to typical
launches, development and implementation costs often reach into the
hundreds of millions of dollars. Certainly, costs are still lower than
launching a new drug from scratch, but they remain significant enough
for companies to truly consider the impact of drug in a new market. A
lot of companies will consider whether the investment in a new
indication is worthwhile. Companies cannot promote off-label uses, but
sometimes the off-label use is substantial enough to warrant a new
trial. However, new clinical studies are costly and risky, so product
teams may decide to leave their off-label use as is. There challenge
with pursuing a new clinical trial is that out in the market, the
off-label use helps the docs. But during a trial, a company may
encounter a negative result because the trial may not be designed for
all patients in the off-label indication. Those results are hard to
calculate when the drug is already on the market and successful.
Among the relaunch strategies profiled in this study, new indications
ranked as the most expensive, averaging $93.7 million, according to the
survey data. Half of the survey respondents spent more than $100 million
to relaunch their existing drug in a new indication. The high cost of
implementing a new indications strategy may keep smaller pharmaceutical
companies from going forward with what essentially amounts to a new
launch. However, companies must recognize the importance of timing their
new indication relaunch properly to maximize returns.